Mayor & Commission Meetings

The meeting will be streamed live and available on-demand through YouTube (www.youtube.com/accgov), the YouTube app, and www.accgov.com/videos, as well as on- demand through the ACCGov Roku channel. WORK SESSION AGENDA UNIFIED GOVERNMENT OF ATHENS-CLARKE COUNTY, GEORGIA Tuesday, February 11, 2025 – 12:00 PM Planning Department I. Call to Order (12:00 p.m.) Mayor Kelly Girtz II. Items for General Information A. Annual Financial Report ............................................... Sam Latimer & Clay Pilgrim Rushton & Company III. Items for Future Consideration B. 2025 Transportation Development Plan ............................................... Victor Pope Transit Director IV. Adjourn NOTE: All reports are draft. No final action is taken at this work session. The Work Session is open to the public; however, public comments are not received.  Presentation of Audit Results For the fiscal year ended June 30, 2024 February 11, 2025  Independent Auditor’s Report – Pages 9-11 Unmodified Opinion In our opinion, the financial statements present fairly, in all material respects, the financial position of Athens-Clarke County, Georgia, as of June 30, 2024, and the respective changes in financial position and, where applicable, cash flows for the year then ended. Auditing Standards We audited the Government’s financial statements in accordance with auditing standards generally accepted in the United States of America and Government Auditing Standards issued by the Comptroller General of the United States. Athens-Clarke County’s Responsibilities The financial statements are the responsibility of Athens-Clarke County’s management. Rushton’s Responsibilities As independent auditors for Athens-Clarke County, our responsibility is to express opinions on the fair presentation of the financial statements. 2  Report on Internal Control, Compliance, and Other Matters In accordance with Government Auditing Standards, we have issued our report on our consideration of Athens-Clarke County, Georgia’s internal controls and our tests of compliance. This report describes the scope of our testing of internal control and compliance, and the results of that testing, but is not intended to provide an opinion on the internal control or compliance. No material weaknesses and no significant deficiencies were noted in the internal controls of Athens-Clarke County, Georgia. No instances of material noncompliance or other matters that are required to be reported were noted. 3  Report on Compliance and Internal Controls over Major Programs In accordance with the Uniform Guidance, we have issued our report on our consideration of Athens-Clarke County, Georgia’s compliance with requirements applicable to each major program and on internal control over compliance. This report describes the scope of our testing of compliance requirements and internal controls over major programs, and the results of that testing. We are required to express an opinion on the Government’s compliance with requirements; our opinion is unmodified. This report is not intended to provide an opinion on the internal control. No material weaknesses or significant deficiencies were noted in the internal controls of Athens-Clarke County, Georgia over the compliance requirements applicable to the major programs. 4  Required Communications Auditor’s Responsibilities  To plan and perform the audit to obtain reasonable, rather than absolute, assurance that the financial statements are free of material misstatements  To examine, on a test basis, evidence supporting the amounts and disclosures in the financial statements  To assess the accounting principals used and significant estimates made by management, as well as evaluate the overall financial statement presentation We believe our audit accomplishes these objectives 5  Required Communications Accounting Policies  The significant accounting policies are described in Note I. to the financial statements  Athens-Clarke County implemented GASB Statement No. 100, Accounting Changes and Error Corrections, during the current fiscal year. Accounting Estimates  Estimates are an integral part of financial statement preparation by management. Most sensitive estimates:  Allowance for uncollectible property taxes and utility billings  Life expectancy of capital assets for depreciation and amortization  Pension and OPEB actuarial assumptions and measurements  Costs for landfill closure and post-closure care 6  Required Communications Corrected Audit Adjustments  Audit adjustments were discussed and approved by management  Adjustments were provided to and recorded by management Uncorrected Audit Adjustments  Schedule of uncorrected adjustments were provided to and approved by management  The adjustments were evaluated and determined to be quantitatively and qualitatively immaterial, both individually and in the aggregate, to the financial statements 7  Required Communications Disagreements with Management  We are pleased to report no disagreements with management arose during the course of our audit Difficulties Encountered in Performing the Audit  We encountered no difficulties in dealing with management in performing and completing our audit Management Representations  We have requested and received written representations from management relating to the completeness and accuracy of the information included in the financial statements and other information requested by us during the audit Management Consultations with Other Independent Accountants  We are not aware of any consultations management had with other accountants about accounting or auditing matters 8  Required Communications Other Audit Findings or Issues  We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as the County’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention. 9  Trend Analysis of Fund Balance as a Percentage of Expenditures and Transfers General Fund Balance as a Percent of Total Expenditures and Assignments of Transfers Out 40% Fund Balance: Restricted, 8% Committed, 35% 6% Use of Fund Balance Assigned for FY 2025 Budget 30% Reserves $14.3 Million (Unassigned) 5% 8% 25% 4% 32% 32% 20% 3% 22% 22% 16.67 % 15% Fiscal Policy Minimum 23% Unassigned 10% 18% 5% 0% FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 10  General Fund Budget to Actual Results – Fiscal Year 2024 Budget Actual Variance Revenue $ 168,920,778 $ 181,141,881 $ 12,221,103 Expenditures 167,894,097 167,267,576 (626,521) Net Transfers (21,480,983) (21,477,182) 3,801 Proceeds from sale of assets 20,000 - (20,000) Net Change (20,434,302) (7,602,877) 12,831,425 Budgeted Fund Balance 20,434,302 - (20,434,302) Beginning Fund Balance - 64,741,641 64,741,641 Ending Fund Balance $ - $ 57,138,764 $ 57,138,764 General Fund revenues were 7.2% more than the final budget. General Fund expenditures for fiscal year 2024 were $167.3 million, 99.6% of the final budget. Personal services were $2.3 million (1.9%) more than budgeted due to filling of vacancies and overtime expenses, primarily in Public Safety. Operating and indirect expenditures were $2.9 million below. 11  Trend Analysis of General Fund Revenue by Source General Fund Revenue by Source 100% 13.8% 12.4% 15.9% 15.3% 14.8% 14.7% 90% 80% 17.8% 15.5% 18.2% 15.4% 17.3% 18.9% 70% Other Revenue 60% 19.0% 19.4% 20.9% 20.7% 20.3% 19.0% Other Taxes 50% 40% Sales Taxes 30% 46.2% 49.1% 48.0% 48.9% 49.2% 49.5% Property Taxes 20% 10% 0% FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 12  Trend Analysis of General Fund Expenditures by Function General Fund Expenses by Function 100% 3.0% Transfers Out 5.5% 4.9% 5.3% 3.7% 9.2% 2.3% 2.7% 3.3% 13.6% 90% 3.3% Housing & 10.4% 12.0% 11.4% 10.8% 3.0% Development 3.7% 10.7% Public Works 80% 2.3% 2.7% 1.1% 10.2% 7.1% 1.0% 7.1% 7.7% 7.5% 7.7% 0.8% Health & Welfare 70% 7.3% 7.3% 6.7% 8.0% 8.1% 7.0% Culture & Recreation 1.5% 3.6% 1.4% 1.4% 6.6% 1.3% 60% 1.1% Judicial 17.5% 18.9% 18.7% 19.4% 17.4% 50% 17.1% Intergovernmental 0.8% 0.8% 0.9% 0.9% 0.8% General Government 40% 1.1% Debt Service 30% Public Safety 45.0% 44.8% 43.5% 42.4% 20% 41.3% 39.7% 10% 0% FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 13  Trend Analysis of General Fund Expenditures by Type General Fund Expenses by Type 100% 3.0% 5.4% 4.8% 5.3% 9.2% 4.2% 4.2% 8.4% 4.1% 13.6% Transfers Out 90% 0.8% 0.8% 0.9% 0.9% 4.0% 0.8% 3.5% 1.1% 80% 19.7% 24.7% 22.1% Other Agencies 21.7% 20.8% 20.1% 70% Debt Service 60% Operating 50% 40% Personal Services 69.8% 65.9% 67.5% 65.5% 65.3% 30% 61.7% 20% 10% 0% FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 14  Comments and Recommendations Segregation of Duties – Elected Officials (Various Constitutional Offices) – Repeat Comment  Important aspect of internal control structure  The following are controls or procedures which should be in place to provide for adequate segregation of duties, but are not for the listed offices:  Tax Commissioner and Probate Court: The same individual has custody of assets, records cash disbursement transactions, and reconciles the bank account(s). Recommendation: The duties of recording, distribution, and reconciliation of cash accounts should be segregated to the extent practical. Accounting records should be reviewed by responsible officials on a regular basis.  Magistrate Court: The same individual has custody of assets, records cash receipt transactions, and prepares the deposit to go to the bank. Recommendation: The duties of recording, depositing, and reconciliation of cash accounts should be segregated to the extent practical. Accounting records should be reviewed by responsible officials on a regular basis. 15  Comments and Recommendations Segregation of Duties – Elected Officials (Various Constitutional Offices) – Repeat Comment  The following are controls or procedures which should be in place to provide for adequate segregation of duties, but are not for the listed offices:  Sheriff’s Administrative Accounts: The same individual has custody of assets, records cash receipt transactions, and reconciles the bank statements. Recommendation: The duties of recording, depositing, and reconciliation of cash accounts should be segregated to the extent practical. Accounting records should be reviewed by responsible officials on a regular basis. 16  Comments and Recommendations Timeliness of Deposits – Elected Officials (Various Constitutional Offices)  Proper internal controls require cash receipts be deposited and transactions recorded in a timely manner.  Failure to deposit cash receipts in a timely manner exposes the following offices to a greater risk of loss due to fraud:  Juvenile Court and Probate Court: We noted multiple receipts were not deposited within seven days of receipting. Recommendation: At a minimum, deposits should be made weekly. 17  Comments and Recommendations Other Items  While performing procedures at the Sheriff’s Department, we noted no activity was recorded in the Online Cash Bond account after the employee responsible left in April 2024. Recommendation: All transactions for all accounts should be recorded timely.  While performing inventory observation procedures for the Public Utilities Department, we noted 12 of 100 items had count discrepancies and 1 of 100 items had price discrepancies. Recommendation: To ensure accuracy of inventory listings, personnel should perform a physical inventory county as close to fiscal year end as possible and update records to reflect any changes in recorded inventory amounts and prices. 18  Comments and Recommendations Other Items  While performing audit procedures, we noted 3 (2 in Sheriff and 1 in Tax Commissioner Property Tax) of 30 journal entries reviewed lacked appropriate supporting documentation and 14 (4 in Municipal Court, 4 in Tax Commissioner Tag, 3 in Sheriff, 2 in Tax Commissioner Property Tax, and 1 in Probate Court) of 30 journal entries reviewed lacked appropriate approval. Upon inquiry, it was noted that different offices that are a part of the journal entry reporting have different procedures. Recommendation: A formal process for approval of journal entries should be followed by all offices.  During our testing of water customer account adjustments, we noted 6 of 30 adjustments lacked a customer request and 5 of 30 lacked a confirmation letter that was sent to the customer. We also noted that 4 of 30 had the same person performing and approving the adjustment. Recommendation: A formal process for approval of water customer account adjustments should be implemented and followed for all adjustments. 19  Current Reporting Changes GASB 100 The Governmental Accounting Standards Board (GASB) has issued Statement No. 100, Accounting Changes and Error Corrections. Effective for Athens-Clarke County for the fiscal year ended June 30, 2024. 20  Future Reporting Changes GASB 101 The Governmental Accounting Standards Board (GASB) has issued Statement No. 101, Compensated Absences. Effective for Athens-Clarke County for the fiscal year ended June 30, 2025. GASB 102 The Governmental Accounting Standards Board (GASB) has issued Statement No. 102, Certain Risk Disclosures. Effective for Athens-Clarke County for the fiscal year ended June 30, 2025. GASB 103 The Governmental Accounting Standards Board (GASB) has issued Statement No. 103, Financial Reporting Model Improvements. Effective for Athens-Clarke County for the fiscal year ended June 30, 2026. 21 Clay L. Pilgrim, CPA, CFE, CFF cpilgrim@rushton.cpa Samuel G. Latimer, CPA, CFE slatimer@rushton.cpa www.rushton.cpa 770.287.7800 22  ATHENS-CLARKE COUNTY Transit Development Plan 2025 - 2029 Commissioners Work Session- February 11, 2025  Agenda Recap of Key Findings Plan Recommendations Next Steps  TDP Milestone Timeline Vision, Goals and Objectives Project Initiation Public Meetings Plan Development, Needs Assessment Review and Approval Data Collection Public Survey Q3 2022 Q1 2023 Q1‐Q2 2024 Q1 2025 Q4 2022 Q2‐Q4 2023 Q4 2024 Public and Stakeholder Stakeholder Meetings Unconstrained Involvement Project List and Cost Existing Conditions Estimates and Performance Assessment Development of Financial Plan 2/7/2025 3 Transit Development Plan (TDP) Defined • A TDP is: ‒ A planning study evaluating solutions that would fulfill transportation needs and support community goals. ‒ A schematic short-, mid-, and long-term transit strategy providing estimated cost and potential funding sources. ‒ A tool to guide system design and implementation efforts. ‒ A prerequisite for federal and state funding. • A TDP is not: ‒ A detailed implementation plan. 2/7/2025 4  Key Findings Existing Conditions Public Engagement Goals • Changes in service area • More frequent service is • Enhance Access characteristics the priority for all • Create and Strengthen • Transit service changes groups Partnerships since previous TDP • Second priority is service • Promote Sustainability to new areas • Increase Revenue • Cost is an important Streams factor • Maintain Assets for Safety 2/7/2025 5  Public Engagement 0 5 10 15 More frequent service How important are the Service to new areas Public Survey- following investments? Earlier morning service Later evening service (Select top three) Increased morning service Increased evening service Additional modes of transportation Increased weekend service Clean / well maintained vehicles Zero fare (free) service More information on the internet Wi‐fi available on‐board More information at bus stops 2/7/2025 None of the above 6 Needs Analysis- People- Transit Propensity 2018 TDP: Propensity (Excluding Density) 2025 TDP Update : Propensity (Excluding Density) 2/7/2025 7 Needs Analysis- People- Transit Propensity Transit Propensity (without density) Transit Propensity (with density) 2/7/2025 8  Residents desire reduced travel times and distances Needs Analysis Highest density developments exist within the urban core Higher density developments are planned along major corridors and in community Land Use centers ACC is a regional employment hub The road network is increasingly congested Top employment sectors in ACC require varied transit Making multimodal connections approaches is essential; 20% of bus stops don’t have a sidewalk nearby Populations that contribute to People Transportation propensity are dispersed Opportunities exist for throughout the county collaboration between existing transportation providers 2/7/2025 9 Planning, Programming and Administrative Strategies Service Operational Strategies • Route Alignment Alternatives • Route Alignment • A- Existing • A- Existing • B- High Coverage • B- High Coverage • C- High Frequency • C- High Frequency • Route Alignment • Bus Frequency • A- Existing • 60 mins • B- High Coverage • 30 mins • C- High Frequency • Service Types • Route Alignment • Microtransit Capital Strategies • Employment Shuttle(s) • A- Existing • B- High Coverage • Private Transportation • Facilities Partnerships • C- High Frequency • Vehicles • Supportive Infrastructure 10 2/7/2025 10  Infrastructure Spotlight Maintenance, Mobility Hubs Operations, and Training Supportive Infrastructure Facility • Sidewalks and Bike Access • Supports expansion of to Bus stops provide critical service to new areas • Fundamental to support first- and last- mile all service changes and connections • Three Tiers goals • Include driver rest spaces, • The ADA requires transit • Provides critical systems to be accessible to passenger waiting areas, infrastructure for weather protection people with disabilities transition to zero including boarding areas emissions vehicles connected by compliant pedestrian routes. 2/7/2025 11  Microtransit – Proposed Zones Phase 3‐ All Zones Zones 3 Route Miles 50 sq. mi. Population 52,300 Jobs 18,000 Frequency 30 minute avg. wait time Vehicles 7 Vehicles + 9 20% Spare Estimated Weekly 926 rides/week Ridership 2/7/2025 12  Financial Analysis- Sources • Revenue Sources ‒ Federal: ‒ Formula & Discretionary Funds ‒ State ‒ GDOT Transit Trust Fund ‒ Local ‒ TSPLOST ‒ General Funds ‒ Other: advertising, etc. * Projections are based on historical funding and assumes formula funding remains accessible and success of future TSPLOST referendum. 2/7/2025 13 Financial Analysis- Cost-Fixed Route Local Bus Existing Alignment High Coverage High Frequency Routes 18 18 19 Route Miles 213.07 189.12 178.02 Population 66,400 60,100 53,500 Jobs 44,600 40,300 36,000 Frequency 60 minutes 30 minutes 60 minutes 30 minutes 60 minutes 30 minutes Vehicles 27 44 23 39 19 34 Vehicles + 20% 33 52 28 47 23 41 Spare Annual Cost $5,674,200 $10,788,200 $4,806,700 $9,047,000 $4,112,600 $7,830,700 (2025 Dollars) 2/7/2025 14  Financial Analysis- Cost- Microtransit Phase I Phase II Phase III Zones 1 2 3 Route Miles 24 sq. mi. 38.9 sq. mi. 50 sq. mi. Population 13,200 30,600 52,300 Jobs 7,600 14,000 18,000 Frequency 30‐minute avg. wait time 30‐minute avg. wait time 30‐minute avg. wait time Vehicles 2 5 7 Vehicles + 20% Spare 3 6 9 Estimated Weekly 231 rides/week 600 rides/week 926 rides/week Ridership Cost‐ Directly Operated $733,094 $1,871,247 $2,594,643 2/7/2025 15  Financial Analysis- Cost- Employment Shuttle Bogart Employment Regional Service (to Georgia Shuttle (to Georgia Square Square Hub) Hub) Route Miles 6.32 103.7 mi Population 3,500 7,100 Jobs 2,200 7,700 Frequency 30 mins 75 mins Vehicles 1 3 Vehicles + 20% Spare 2 4 Cost‐ $74,400 $292,400 2/7/2025 16  Financial Analysis- Capital Planning Short‐Term Mid‐Term Long‐Term Bus Route and Network Redesign $ 300,000 Fare Policy $ 85,000 UGA / ACCT Efficiency $ 300,000 Zero Emissions Fleet Transition $ 175,000 First and Last Mile Connectivity $ 198,000 Transit Oriented Development $ 290,000 Regional Connections $ 150,000 Multimodal Corridor Protection $ 125,000 2/7/2025 17  Next Steps • Public Engagement- ‒ January 30- Stakeholder Meeting (Virtual) ‒ February 3- Open Public Comment Period ‒ February 11- Mayor and Commission Work Session (In Person) ‒ February 19- Transit Center Open House (In Person) MACORTS TCC (Virtual) ‒ March 4- Public Comment Period Close ‒ March 12- MACORTS PC (Virtual) ‒ April 1- Mayor and Commission Regular Session (In Person: Read 2 & Approval) 2/7/2025 18  Questions? 2/7/2025 19 Fixed Route Local Bus- Alignments Alignment A- Alignment B- Alignment B- Existing High Coverage High Frequency 2/7/2025 20